The identification of alternative nutrient sources is a critical issue in livestock production. Historically, Nepal has been dominated by subsistence agriculture practices with low livestock productivity. One of the key reasons behind this is ignoring the importance of animal nutrition in livestock production. Feed costs alone constitute up to 70% of total production costs, and the self-sufficiency of livestock in Nepal is low, including the poultry sector which imports a significant quantity of raw materials for feed production. In this chapter, we highlight that animal nutrition and feeding should receive a central focus to improve the self-sufficiency of livestock production in Nepal through novel feed resources. We suggest major policy changes to improve the domestic supply of feed sources for livestock. In the short term, underutilized aquatic plants and algae should be prioritized as alternative nutrient sources. In the medium term, insects can be scaled up as alternative protein sources for monogastric animals, including fish. Finally, long-term policies should consider biotechnology advancements in producing single-cell proteins from low-grade bioresources. On the governance level, the central and provincial governments could play a major role in implementing such policies in coordination with local municipalities. A new act, Feed Safety and Quality (FSQ), with a decentralized legal framework, should be put in place to implement these policies and plans. It should shape the new feed regulations of Nepal, including specific sampling methods, analysis techniques, safety measures, and the environmental impacts of both existing and novel or alternative feed ingredients for animal production.